Denmark: #InvestEU: European investments for safer air and sea travel

The European Union will support Danish aerospace manufacturer Terma with a EUR 28m loan from the European Investment Bank (EIB). The loan will be the first corporate transaction in Denmark to be guaranteed under the European Fund for Strategic Investments (EFSI), heart of the Investment Plan for Europe, in which the EIB is the European Commission’s strategic partner.

The project entails research, development and innovation (RDI) investments for the development of high-tech products for civilian space applications, such as components for commercial satellites, radar technology for harbour, coastal, airport and air traffic control, as well as airborne self-protection systems, an example of which is electronic self-protection systems for transportation aircraft providing humanitarian relief and for SAR helicopters providing security for crews and passengers in hostile areas. The activities will be carried out in Denmark. Terma’s RDI activities will lead to more secure air and sea travel as well as improved environmental monitoring from aircraft and satellites.

“The EU Bank is glad to support a leading Danish company in strengthening its innovativeness and also its international competitiveness in an environment with strong global players." said Jan Vapaavuori, EIB Vice-President. “The project is important in bridging the innovation gap that we currently see in Europe vis-à-vis the United States and Asia. Fostering the competitive position of a European promoter investing in RDI for civilian applications also contributes to the targets of the Europe 2020 Strategy for smart, sustainable and inclusive growth.”

Violeta Bulc, European Commissioner for Transport, said: "I am proud that the Investment Plan is helping to finance such an innovative project in Denmark. With the help of this EFSI-backed loan from the EIB, Terma will expand its RDI activities, leading to safer and smoother travel for all of us."

Jens Maaløe, CEO of Terma said: “The financial facility provided by the European Investment Bank is an encouragement to Terma. It helps us to continue and strengthen the development of new products as well as bringing existing products to the next level within the environment, space and security applications. As an example we recently introduced new radar based solution - Obstruction Light Control – enabling an increased number of wind turbines in areas where the high intensity obstruction lights required for tall wind turbines can appear very intrusive to their neighbours. The system automatically switches the obstruction light on and off when needed”.

This is the first corporate transaction in Denmark falling under the Juncker Commission’s Investment Plan for Europe, meant to support investments and bring back jobs and growth. The EIB loan is guaranteed by the EU budget, which allows the EIB to take on more innovative and higher-risk projects.